Search ForexCrunch

The important German  ZEW Economic Sentiment survey improved more than expected and reached -11.5 points. European CPI dropped.

EUR/USD extends its move above 1.30. Update: it is struggling with these levels once again.

The important survey of 275 investors and analysts has been in negative ground (reflecting pessimism) for 4 months. This rise from -18.2 to -11.5 means that pessimism is lower. The figure was better than -14.6 that was expected.

The all-European figure (which has a lower impact) also improved from -3.8 to -1.4 points, within expectations of -1.1.

At the same time, CPI figures were released: the final figure for the euro-zone is an annual pace of 2.6%, lower than 2.7% recorded last time (and that was expected now). Core CPI also fell short of expectations and remained at 1.5%. 1.6% was predicted.

In addition, the euro-zone published the trade balance figure, which reached a surplus of 6.6 billion euros. Expectations stood on a climb from 7.2 to 8.4 billion. Yet despite the disappointment, this is far better than the deficit seen in the same month last year. The lower value of the euro certainly helps.

EUR/USD began climbing from the 1.2960 towards 1.30 and went as high as 1.3115 immediately after the release. It is now struggling again with this level.

For more levels, see the Euro to dollar forecast.